My stay at the Dakota does not get off to an auspicious start. After about 10 or so minutes in a cab from the centre of Edinburgh, I realise my taxi driver does not know where he's going. After recounting the directions I have been given in minute detail a moment of illumination spreads across his face. "The Dakota … that's a hotel then? I thought it was an electronics factory."

You can see his point. A large, squat, black glass cuboid, the Dakota looks like a place Darth Vader would be happy to call home, or perhaps a state-of-the-art nuclear bunker. "I'm sure it's nice inside," my taxi driver reassures me as we pull up.

"Nice" doesn't really describe the Dakota's reception area. I arrive in the evening and the oversized stripy upholstered chairs are full of well-heeled clientele, the Chairman Mao-besuited reception staff looking after them attentively. The overall impression is dark and glitzy: black Ming-style vases jostle for attention with the huge steel clock affixed to the wall, a strip of flames nestled in a cut-out section of the grey wall gives the guest a peek into the stylish bar area.

The Dakota feels flashy and looks expensive. It's not. At a flat rate of £89 a night per room, or £113 per room for the weekend, it doesn't cost much more than a seedy, soulless travel lodge. Suites – replete with lounging area, walk-in wardrobe and no less than two flat screen TVs – are available at £199 per room, per night, or £231 per room for the weekend. Located on Ferrymuir retail park, it is a 20 to 45 minute drive from the centre of town (depending on traffic), and 15 minutes to the airport. There are good-sized meeting rooms and a miniscule gym, though unfortunately no other leisure facilities.

Once in my decent-sized room I realise why I don't feel exactly comfortable in this hotel. It looks as if it's been designed by an all-male team, after a week of hunter-gatherer, team-building activities. The blinds are drawn, the walls are dark and the surfaces are very shiny. The bed appears to be bathed in artificial candlelight, a feature I find slightly distressing until I manage to switch the light to constant rather than boudoir.

The dominant feature of the room is not the good firm bed, the full-length mirror, or even the large stainless steel "&" symbol attached to the wall. It is the absolutely huge, all encompassing flat-screen TV directly in front of the bed. It is mesmerising, and will surely keep many a businessman happy on long, lonely nights.

The bathroom is faultless – spacious, sparkling, with well-lit mirrors and a showerhead as big as a dinner plate. The view would be quite nice too - the Firth of Forth in the distance, the Forth Rail Bridge spectacularly lit up at night - but the Frankie & Benny's in the foreground somewhat detracts from the overall effect.

The Dakota's restaurant is sleek. The blinds are pulled low to shut out the unsightly view of the car park and the overall effect of the cream-leather banquets, dark-wood floors and heavy cutlery is quite luxurious. The menu comprises simple, no-nonsense food and, in keeping with the Dakota's ethos of "affordable luxury" (the chain is named after the low-cost aeroplane that opened up air travel for the masses in the 1930s), very reasonably priced.

Staff are unfailingly courteous, and once my knowledgeable and friendly waitress had recovered from wishing me a good morning at 8.30pm she didn't miss a step. Starters like old-fashioned pork terrine with organic beetroot and goat's cheese salad range from £5 to £7 with main courses from £9.50.

A whole lobster for £28 seems like rather a bargain, as does the impressive seafood platter for two at £36. They even have Beluga caviar on offer at £120 for 30g. A fish and shellfish soup with rouille and parmesan was fabulous and the rib of beef tender and cooked to perfection. The food is not spectacular as such, but good quality and well executed – an impression that was confirmed by the hot, tasty and fresh full breakfast I gobbled down the following day.

As I was leaving the Dakota, Julie, the sparky blonde on reception, offered me a lift to the station – a five-minute drive away. And it is this that makes the Dakota rather unusual – the staff are not the bored automatons one usually finds in budget business hotels, nor are they the ingratiatingly slick creatures of the pricey, high-end establishments; they are friendly, open and chatty, rather like the staff you'd expect to find in a country hotel, only with communist uniforms.

· Prices: Flat rate per room of £89 a night weekdays, and £113 per room for two nights at the weekend. Suites cost £199 a night on weekdays and £231 for two nights at the weekend.

· Special offer: The Dakota weekend stay (£113 for two) includes a glass of champagne, two nights' stay, full breakfast, newspaper and late checkout. To book, call or email weekend@dakotaforthbridge.co.uk.